Maruti Suzuki plans to build 3rd factory in Haryana's Sohna

Currently, auto component makers supply parts to both the plants of Maruti from the same component manufacturing facility located at Gurugram.

If original equipment manufacturers and component manufacturers set shop in different location, Maruti  might lose the cost effectiveness in the automobile market.

According to sources, Maruti has proposed to move the manufacturing plant from the current Gurgram location to the new facility once the new manufacturing factory gets functional.

Sources indicated that Gurugram plant falls right in the heart of the city and the company is having logistics problem given heavy traffic in the city. But the Haryana government is yet to take a call on the proposal of the company.

According to Haryana government policy, the state cannot allot land to industry, but can auction the plot.

However, Maruti is not willing to participate in the auction process and has asked the government to allot the land at a fair price.

Sources also indicated that the company chairman RC Bhargava has already met the Haryana chief minister and other state officials requesting the same.